Northleaf Capital Partners Closes Opportunities Fund at $385m Surpassing Its Target Fund Size

Aug 4, 2022 | News | 0 comments

Northleaf Capital Partners, a leading global private markets investment firm, is pleased to announce the successful final close of Northleaf Capital Opportunities.

Investors entrusted $385m of capital to NCO, exceeding the Fund’s original $350m target, and bringing total Northleaf private equity capital raised in the past 12 months to $2bn.

“We are very pleased by the strong support from new and existing investors in our first direct private equity investment fund,” said Mike Flood, Managing Director & Head of Private Equity at Northleaf. “We launched NCO as a value-added co-investment fund that leverages the strengths of the broader Northleaf platform, our twenty-year co-investment track record and our network of fund sponsor relationships to provide investors with differentiated access to mid-market company value creation.”

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Investors are attracted to NCO’s strategy which is focused on investing in mature, cash-generating mid-market businesses in recession resilient sectors. To date, investors in NCO have benefitted from having more than 55% of their capital prudently invested across a diversified portfolio of 20 leading mid-market companies. Given strong early performance, the Fund is expecting a partial realization for one of its investments, which will return more than 50% of invested capital in the company. A number of additional realizations are anticipated in the second half of 2022.

“NCO’s portfolio of leading mid-market companies is performing well, and we are excited about the strong pipeline of opportunities for the fund,” said Matt Shafer, Managing Director & Head of Direct Private Equity at Northleaf. “Our strategy is to make non-control investments in mature, cash-generating companies with strong market positions and identified growth opportunities at attractive valuations. We have demonstrated an ability to actively source and structure transactions that generate strong returns with short duration and lower risk. NCO’s active, disciplined and highly selective approach is well-suited to provide our investors with direct access to the significant opportunities that today’s more challenging market will produce.”

Northleaf has been investing in private equity-backed mid-market companies since 2001. Over the past twenty years, investors have entrusted more than US$11 billion to Northleaf’s global private equity program, gaining access to mid-market private company value creation through three complementary strategies: directs, secondaries and integrated global solutions. The private equity program currently serves more than 120 institutional and family office investors across North America and the UK/EMEA. With recent private equity, private credit and infrastructure fundraising activity, Northleaf’s total capital commitments raised to date exceed $20bn.

Source: Business Wire

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